Lithuania starts rounding off cash payments to phase out 1, 2 cent coins

VILNIUS – Lithuania started rounding off the final amount of a basket of goods or services on May 1, thus moving to gradually phase out the use of 1 and 2 cent coins.

The final amount of a purchase will only be rounded up to the nearest multiple of 5 cents for cash payments: an amount ending in 1 or 2 cents, 6 or 7 cents would be rounded down to 0 or 5 cents, and rounded up to 5 or 10 cents for amounts ending in 3 and 4 cents, or 8 and 9 cents. 

The coins will not be withdrawn from circulation and can continue to be used for payment.

Rounding will not be used for non-cash payments, currency exchange, cash transfers, cash deposits and withdrawals. 

According to a Eurobarometer survey, two thirds, or 69 percent, of Lithuanians backed a decision to round (up or down) the sum of purchases and abolishing 1 and 2 cent coins, 29 percent were against it, while the rest had no opinion in January.

The Seimas adopted the law on the rounding of cash payments in March 2024.

Infringements are punishable by warnings or fines of 100-500 euros, or 200-1,000 euros for businesses. Fines would double for repeated infringements.

The rounding rule is already applied by seven euro area countries – Finland, the Netherlands, Slovakia, Italy, Ireland, Belgium and Estonia.